T h e Outlook for Industrial Research CARROIX,
A.
HOCHWALT,
Central Research Department, Monsanto Chemical Co., Dayton, Ohio
Industrial research o n a large organized scale is a rather recent development, n o t receiving i t s great i m p e t u s i n t h e U. S. u n t i l aft e r World W a r I, w h e n w e realized t h a t research h a d b e e n t h e p r i m e reason for G e r m a n y ' s industrial s t r e n g t h . Can we cope w i t h t h e problems o f peace as efficiently as w e have w i t h t h e problems of war? The a n s w e r s t o t h i s difficult question mujst c o m e from m a n y sources—our e c o n o m i s t s , our leaders in political science, our philosophers, o u r leaders of labor and industry, and our scientists -A.T FIRST there were misunderstandings between business management and men of science as to t h e proper function of industrial research and misgivings as to whether business should sponsor broad research programs. However, these differences have now disappeared, and the majority of industry's annual reports emphasize the achievements of their research departments and their research appropriatioits.. When industry first realized the necessity for research, its personnel had, in the foreign and American literature, an accumulated fund of knowledge upon which to draw. However, this treasure house is becoming exhausted. Industrial research must have new sources of knowledge. I t therefore behooves us in industry to sponsor and encourage more fundamental or basic research, not only in the universities but also in our own industrial laboratories. That industrialists are beginning to appreciate t h e necessity of fundamental research, from which all applied research springs, is evidenced by the fact that in 1938 industry spent 5 % of its total research budget, or about $9,000,000, for this type of work. I n that year, universities and colleges spent about $20,000,000 or about 70% of their research budget for this purpose, a n d the Federal and State Governments spent a total of $7,500,000, or about 15% of their research budgets. Therefore, industry was standing the cost of about one fourth of all the basic research being done in this country before the Avar. Today, industry plans to spend twice as much a s it did in 1938 for research of all kinds, allotting 10% for basic research. This fact, however, does not relieve the university of primary responsibility in the pursuit of fundamental knowledge. Unfortunately, there is an increasing tendency for academic groups to do applied industrial research with attendant neglect of fundamental and basic studies. While this is understandable from a financial standpoint, experience has shown that the university makes its greatest contribution by concentrating on fundamental - fields of knowledge, and that industry can best handle development of the fields of Condensed from a speech given before the National Industrial Conference Board recently in N e w York.
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applied research. Therefore, industry still looks to the university to perform the bulk of fundamental research, not only for the basic knowledge that will be uncovered but, equally important, for the training of men. Expansion of research activities in the universities must be sponsored by industry through grants and fellowships for fundamental studies. As a result of their closely integrated efforts during the war, industrial scientists and academicians have,learned to work together as a team and have developed better understanding and mutual respect. Continuation of this teamwork must be encouraged for the greater development of· both. We should discuss frankly our points of view in regard to training, orientation, and professional development of those students who plan to enter industry. This will be particularly important during the next few years because of the paucity of young scientists as a result of the war. How can the high level of scientific achievements which has marked industrial research over the past 25 years be maintained? Since the close of the war, we have read of the magnificent centers that are to be built to house the research facilities of many companies. While environment is an aid in fosterirg th«· creative spirit in a scientific staff, it is not as important as the human factors involved. Research is done by scientists *nd the spirit of a laboratory is created by the type of men in that laboratory. Assuming a well-trained staff, the impact of management policies is an all important factor. A research-minded management that has scientists included in its inner cou noils will, have clearer objeci jves of research and will provide more stable working conditions and a freer hand to those whose duty it is to carry out such research programs. In addition to providing physical facilities, enlightened leadership, and a working environment, conducive to creative effort, industry must encourage its scientists to participate in the affairs of their technical societies, to cooperate in the study of the social implications of scientific advances, and to take part in governmental affairs at local, state, and national levels. The individual must be encouraged
» » AUGUST
2 5,
1946
to better his status by broadening his knowledge and improving his skill. Can we cope with the problems of peace as efficiently as we have with the problems of Avar? Perhaps because I have spent so much of my time in scientific research, it is easy for me to visualize the answers that will come from our scientists. Contrary to the doleful statements made by some false prophets, our economy is not mature—new scientific frontiers still challenge us. Utilization of atomic energy, application of radioactive isotopes and synthetic elements, development of microwave transmission, realization of supersonic flight, creation of rational low-eost housing, and synthesis and improvement of antibiotics are but a few of them. The fact that these horizons exist does not insure that they will be pursued. The will and the way must be there also. Both require a favorable environment in which to flourish. Industry itself requires a favorable environment, and this factor deserves attention. Tax laws, tariff regulations, and other government policies must not make it impossible for industrial activity to continue at high pitch. Relations between labor and management must ensure steady operation if production is to be maintained at high level. Freedom from unwarranted government interference with normal business operations, with intellectual development, and with details of our daily life must be assured. Finally, the fruits of research must be protected until the heavy expense-involved in their creation can be amortized, and this requires enlightened administration of the patent laws within the American competitive system. The organization of industrial research is on a sound basis, and the management of scientific problems will be on a high level in the coming years. I am convinced that industrial research, with a free hand in its own management, with the correct proportion of fundamental research to leaven the applied research, and with the sympathy and understanding of industrial management, is ready to take its share of responsibility for economic development. However, in a democracy no one group should be expected to assume full responsibility for a program which is essential to the welfare of ail of us. The war was won because we all worked at it; the peace can be won only if we work even harder. If we could be assured of the ;>
